BORICA Enhances Cross-Border Instant Payment Compatibility in Bulgaria with Montran's TIPS Connection Module

Enhancing Payment Systems in Bulgaria

In a significant advancement for the financial sector in Bulgaria, BORICA, the national payment operator, has successfully launched a connection module to the TARGET Instant Payment Settlement (TIPS) system developed by Montran. This integration allows Bulgarian banks to access TIPS, enabling efficient real-time payments and enhancing the interoperability of cross-border financial transactions.

What Does This Mean for Bulgarian Banks?

With this new development, the existing immediate payment services provided by Bulgaria are set to expand. The local service, known as Blink, will now be integrated with the SCT Inst payment scheme in euros, applicable for both domestic and SEPA zone payments. At its core, this move aims to bolster the financial infrastructure of the country, ensuring that Bulgarian banks can smoothly conduct instant payment transactions.

Vania Ganeva, head of payment services at BORICA, emphasized the importance of this solution. She stated, “Thanks to the solution provided by Montran, we can now offer our participating banks a simplified and efficient way to access TIPS for carrying out instant payments.” The enhanced liquidity management tools now available will empower banks to optimize their resources across TIPS and EURO INST channels, facilitating operational efficiency and compliance with European standards.

Technological Advancements Offered by Montran

Montran's specialized solution features two separate pre-funding modules. One specifically caters to TIPS, supporting international access, while the other focuses on EURO INST for domestic transfers. This dual-module approach allows for better liquidity management capabilities through a unified interface, enabling banks to effectively allocate or withdraw funding as necessary.

Moreover, the system incorporates an advanced liquidity monitoring and control system, ensuring seamless interaction with TIPS, T2, and STEP2 via the SWIFT network. This connectivity is vital for modern banking operations, ensuring that transactions across borders can occur without delays or complications.

Strengthening Financial Partnerships

Keith Esca, Director of Global Sales at Montran, commented on the collaboration with BORICA. He noted, “Our partnership with BORICA stands as a testament to Montran's commitment to delivering tailored solutions that meet the specific demands of the market. The successful launch of this TIPS connection module underscores the strength of our partnership in promoting innovations and facilitating instant payment transactions while supporting SEPA compliance for Bulgarian banks.”

Future Implications for Bulgaria's Financial Infrastructure

Following rigorous testing, the TIPS connection module is now operational, greatly improving the payment infrastructure's alignment with contemporary European standards for instant transactions and settlements. This initiative marks a substantial milestone in enhancing both the efficiency and cross-border compatibility of the country's payment systems.

In conclusion, this collaboration between BORICA and Montran not only facilitates immediate and streamlined payment processing but also positions Bulgaria more favorably within the European financial landscape. As the country continues to upgrade its payment services, it reinforces its commitment to providing cutting-edge financial solutions for both consumers and banks alike. The efforts to modernize the payment systems also reflect a broader trend towards digitization and efficiency within the global banking sector.

About Montran

Montran is a leading provider of payment infrastructure solutions for retail payment markets and capital markets, serving major financial institutions worldwide with critical operations in over 90 countries.

About BORICA

BORICA AD is a Bulgarian joint-stock company owned by 19 banks. Established as a developer and currently a provider of technology for the country's payment industry, BORICA has been a reliable partner for the public sector, banks, and payment institutions for over 30 years. The company is devoted to delivering modern and innovative solutions for financial institutions.